A marketing agency agreement can be a key item in forming partnerships and growing your agency. It is essential to include details about all the obligations and expectations in your marketing agency agreement to stave off some of the biggest problems when it comes to marketing agency contracts. Some of the biggest challenges that can occur from a poorly written contract include:

  • Unclear responsibilities
  • Unmet expectations
  • Loss of time
  • Loss of money

When it comes to preparing a marketing agency contract, the old adage, "hope for the best but prepare for the worst" still holds true. No matter how much due diligence you perform before engaging in business with someone, every once in a while things just don't work out.

Remember that if you don't set clear expectations, you could be setting yourself up for disappointment and frustration. These issues can not only lead you to lose time and money but also can result in a lawsuit. To prevent frustration, establish a few items in your contract, including:

  • Specifying what will happen if a client seeks the services of another agency to produce the same work
  • Determining what would happen in the event work had been completed, but a refund of the deposit has been requested

A contract is about preventing the occurrence of a bad situation by preventing it from happening in the first place. Your contract does not need to be complicated or require much legal jargon. Complicating the contract will not improve its legality and can actually make it more confusing for both parties. Upon completion of drafting the agreement, it is important to go over the contract with your client and answer any questions they may have. It is also good practice to have the documents reviewed by a legal professional before bringing them to your client.

Some of the main purposes of drafting these agreements are to specify the scope of work, terms, and cost of services. They serve as tools to clarify the purposes and conditions for the arrangement, focusing on the rights and responsibilities or each of the involved parties.

How to Word the Names of Parties Portion of Your Contract

One of the common legalities that should be included in any contract is identifying all the individuals engaged in the agreement. This section should:

  • Specify the legal names for all parties
  • Indicate any other names that the individuals or companies may be referred to
  • Include business addresses for all parties
  • The date that the agreement was accepted by both of the parties

How to Word the Contract Duration

There should be a section of the contract that addresses duration issues. This part should answer such questions as:

  • The date the contract will go into effect
  • The end date of the contract
  • What will constitute the conclusion of the project

If a retainer is involved, it may not have a set start and end date. Also note that some deadlines cannot be met, so having the contract valid through the completion of the project is probably a better choice than a date. You will also want to specify what constitutes the completion and specify that the files will be released after payment has been made. These files may be the only thing ensuring you receive payment.

How Should You Word Scope of Work in Your Contract

The scope of work is one of the most crucial parts of your contract. You will want to include this section within the first two pages of the contract. The key to having a successful scope of work is to include as many specifics as possible. At the minimum, your scope of work section should include:

  • What work was agreed upon
  • What is the end goal
  • What services you are going to provide
  • What is considered the tangible deliverables
  • How will your services be carried out
  • What will you require from the client, time, info, etc.
  • How many revisions and what type of revisions will be included

How to Word the Additional Work Clause

Scope creep, or additional work, can be challenging to verbalize because it happens on a more day-to-day basis. There should be a mention or what will constitute as additional work and how the additional services will be charged. This can also be as simple as stating that any additional work will be quoted at a separate rate and in a different agreement.

If you need help with a marketing agency agreement, you can post your legal need on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Stripe, and Twilio.